R2018-096 2018-05-14 RESOLUTION NO. R2018-96
A Resolution of the City Council of the City of Pearland, Texas, amending a
Tax Abatement Agreement with Pearland Economic Development
Corporation Prospect No. 1503, for improvements to be constructed along
Kirby Drive.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. That certain Tax Abatement Agreement, a copy of which is attached hereto
as Exhibit "A" and made a part hereof for all purposes, is hereby amended.
Section 2. That the City Manager or his designee is hereby authorized to execute
and the City Secretary to attest an amended Tax Abatement Agreement.
PASSED, APPROVED and ADOPTED this the 14th day of May, A.D., 2018.
Sa-d
TOM REID
MAYOR
ATTEST: ,,.�`Q" p14,,
,11
MARIA E. RODRIGUEJTR4
,,,,,,,, .•�`'`�,``
DEPUTY CITY SECRETAR
APPROVED AS TO FORM:
DARRIN M. COKER
CITY ATTORNEY
Resolution No. R2018-96
Exhibit "A"
SECOND AMENDMENT TO
TAX ABATEMENT AGREEMENT
This Second Amendment (hereinafter"Amendment") is made between the CITY
OF PEARLAND(hereinafter"City"), and TOOL-FLO MANUFACTURING, INC., AND
D.I. PROPERITEIES INC., (hereinafter"Company") to amend that Tax Abatement
Agreement(the "Agreement") between the City and the Company, attached hereto as
Exhibit"A."
1. Amended Terms.The City and the.Company hereby agree that the Agreement
is amended as follows:
A. Section 3 Abatement: Subject to the terms and conditions of this
Agreement, and subject to the rights and holders of any outstanding
bonds of the City, a portion of ad valorem taxes assessed upon the
Premises, Fixed Improvements and Fixed Machinery and Equipment
Property as defined herein and otherwise owed to the City shall be
abated. The City hereby acknowledges that it is not aware of any terms or
conditions of any outstanding bonds which would invalidate this
Agreement or would conflict with the provisions of this Agreement. This
Agreement shall be effective with the January 1st valuation date
immediately following the date of execution of this Agreement(the
"Effective Date"). In each year that this Agreement is in effect, there shall
be an abatement of taxes assessed upon the increased value of the
Premises due to the Improvements defined,herein, exclusive of future or
other capital investment made at the Premises not contemplated herein,
over the market value as of January 1st in the year in which this
Agreement is executed. The abatement as herein provided shall be for
the following years and in the following amounts: (i) One hundred percent
(100%) of the taxes assessed upon the increased value of the
Improvements set forth below exclusive of future or other capital
investment made at the Premises, annually for a period of three (3) years
beginning January 1, 2019 and ending December 31, 2021; (ii) Seventy
five percent(75%) of the taxes assessed upon the increased value of the
Improvements set forth below exclusive of future or other capital
investment made at the Premises, annually for a period of three (3) years
beginning January 1, 2022 and ending December 31, 2024; and (iii) Fifty
percent (50%) of the taxes assessed upon the increased value of the
Improvements set forth below exclusive of future or other capital
investment made at the Premises, annually for a period of four(4) years
beginning January 1, 2025 and ending December 31, 2028.
B. Section 4(a) Capital Improvements: The Companies shall collectively
construct various improvements on the Premises, which shall be
substantially complete on or before December 31, 2018 (the
City of Pearland,Tool Flo Manufacturing and D.I.Properties 2"d Amendment to Tax Abatement Agreement May 2018
1
"Improvement Completion Date"), and which when complete shall have a
minimum cost of Twelve Million Dollars ($12,000,000) for the land,
Improvements, Tangible Personal Property, and Fixed Machinery and
Equipment. The Companies shall have such additional time to complete
the Improvements as may be required in the event of"force majeure" (as
set forth herein) if the Companies are diligently and faithfully pursuing
completion of the Improvements. The date of completion of the
Improvements shall be defined as the date a Final Certificate of
Occupancy is issued by the City.
C. Section 4(b) Job Creation: Tool-Flo shall create a total of 149
"Employment Positions", as defined herein, by December 31, 2018: Tool-
Flo shall demonstrate compliance with this Section by maintaining a
minimum of ninety five percent (95%) or more of the required Employment
Positions at the Premises for the entire duration of this Agreement.
Employment Positions, for purposes of this Agreement, shall only be
counted if the number of Employment Positions is greater than the total
number of Employment Positions located at Tool-Flo's operations in the
City at the time this Agreement is executed (the "Threshold").
D. Section 7 Annual Compliance Verification: No later than 60 days after
January 1, 2019, and continuing every year thereafter through 2028,
Companies shall deliver to the City an Annual Compliance Verification, in
the form of Exhibit "C", attached hereto, signed by duly authorized
representatives of the Companies certifying the following information:
a. the number of Employment Positions created and maintained by
Tool-Flo on the Premises, the general description the Employment
Positions existing as of December 31st of the preceding year and
the wage information for all Employment Positions; and
b. the appraised value, as determined by the Central Appraisal
District, of the Improvements and Inventory as defined herein,
supporting evidence that the Improvements were constructed or
installed on or before the Improvements Completion Date and a
general description of the Improvements and Inventory existing as
of December 31st of the preceding year.
There shall be a total of ten (10) Annual Compliance Verifications
submitted to the City in years 2019 through 2028. Each Annual
Compliance Verification shall include specific back-up information
supporting the Employment Position data. Furthermore, all Annual
Improvement Compliance Verifications shall consist of a certified copy of
the appraised value of the Improvements and Inventory as shown by the
Central Appraisal District supported by all correspondence, renditions,
City of Pearland,Tool Flo Manufacturing and D.I.Properties 2"d Amendment to Tax Abatement Agreement May 2018
2
appeals or contests and settlement of appraised value and shall provide
appropriate back-up data for the Improvements exclusive of other
investments made at the Premises.
2. Contract to Remain in Force.. Other than the provisions of the Contract
expressly amended herein, the Contract shall remain in full force and its
enforceability shall be unaffected by this Amendment.
EXECUTED and EFFECTIVE as of the /7 day oft n , 2018.
ATTEST: CITY
• QEAR Ni.•
'PP" I : By:
. �t�_.Lo,. I u �. Clay Pe rso
:� j' y, •s - City Manager
APPROVED AS TO FORM:
• a(/
By:
Darrin M. Coker
City Attorney
City of Peariand,Tool Flo Manufacturing and D.1.Properties 2nd Amendment to Tax Abatement Agreement May 2018
3
COMPANY:
TOOL-F O,MANUFAC R G C.
By: - X1(4 44/11
Dennis Flolo
President
COMPANY:
D.I. PROP ' a•, I e!
By:
-ggie L. pr
Vice
-Vice President
City of Pearland,Tool Flo Manufacturing and D.I.Properties 2nd Amendment to Tax Abatement Agreement May 2018
4
THE STATE OF TEXAS
COUNTY OF BRAZORIA
BEFORE ME, the undersigned Notary Public, on this day personally appeared Clay
Pearson, City Manager for the City of Pearland, known to me to be the person
whose name is subscribed to the foregoing instrument and acknowledged to me
that he executed the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE THIS ,11 DAY OF
, A.D., 2018.
061_ �
NOTARY PUBLIC, STATE OF E At)
MARIA ESCALANTE RODRIGUEZ
Notary ID#1069221-7
*My Commission Expires Printed Name: Mar 1 O. . • , 1
March 14,2021
Commission Expires: O.3- I D
City of Pearland,Tool Flo Manufacturing and D.I.Properties 2nd Amendment to Tax Abatement Agreement May 2018
5
THE STATE OF TEXAS
COUNTY OF I-1)40f5
BEFORE ME, the undersigned Notary Public, on this day personally appeared, Dennis
Flolo, President of Tool-Flo, Inc., known to me to be the person whose name is
subscribed to the foregoing instrument and acknowledged to me that he executed
the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE THIS 25- DAY OF
J.-00E , A.D., 2018.
EtY
•• Y p
0 e
•
y •;•<3
OT-RY j BLIC, STATE c+ TEXAS
• -, •
1
:oof TEPrinted Name: 1-o , /a/p3
s�'f•p•':,�13bS. .� Commission Expires: 051 —c 5--2c�'z/
osoo�05-202 os,,
-•111110-
City of Pearland,Tool Flo Manufacturing and D.I.Properties 2nd Amendment to Tax Abatement Agreement May 2018
6
THE STATE OF TEXAS '
COUNTY OFlai r- n-k-
BEFORE ME, the undersigned Notary Public, on this day personally appeared Reggie
Lowder, Vice President of D.I. Properties, Inc., known to me to be the person
whose name is subscribed to the foregoing instrument and acknowledged to me
that he executed the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE THIS DAY OF
q un-P , A.D., 2018.
y _
—
NO A RY PUBLI 'TATE OF TEXAS
STACIA D BROOM
r°tPrinted Name: �pc;G13(por�
P� P. `- Notary Public.State of Texas
Commission Expires: 1-1 g -a-ol q
eq My Commissit Expires
��`P July 18, 2019
City of Pearland,Tool Flo Manufacturing and D.I.Properties 2nd Amendment to Tax Abatement Agreement May 2018
7
Exhibit A
[Tax Abatement Agreement between City of Pearland, D.I. Properties, and Tool-Flo]
City of Pearland,Tool Flo Manufacturing and D.I.Properties 2nd Amendment to Tax Abatement Agreement May 2018
8
AMENDMENT TO
TAX ABATEMENT AGREEMENTThis Amendment . .
PEARLAND(hereinafter"City"), andfter TOOL FLO"Amendment") is made between the CITY OF
MANUFACTURING, INC, AND D.I.
PROPERITEIES INC., (hereinafter "Company")to amend that Tax Abatement
Agreement(the"Agreement") between the City and the Company, attached hereto as
Exhibit."A."
1. Amended Terms. The City and the Company hereby agree that the Agreement
• is amended as follows:
A.. Section 3 Abatement: Subject to the terms and conditions of this
Agreement, and subject to the rights and holders of any outstanding
bonds of the City, a portion of ad valorem taxes assessed upon the
Premises, Fixed Improvements and Fixed Machinery and Equipment
property as defined herein and otherwise owed to the City shall be abated.
The City hereby acknowledges that it is not aware of any terms or
conditions of any outstanding bonds which would invalidate this
Agreement or would conflict with the provisions of this Agreement. This
Agreement shall be effective with the January 1st valuation date
immediately following the date of execution of this Agreement(the '
"Effective Date"). In each year that this Agreement is in effect, there shall
be an abatement of taxes assessed upon the increased value of the
Premises due to the Improvements defined herein, exclusive of future or
other capital investment made at the Premises not contemplated herein,
over the market value as of January 1st in the year in which this
Agreement is executed. The abatement as herein provided shall be for
the following years and in the following amounts: (i) One hundred percent _
(100%) of the taxes assessed upon the increased value of the
Improvements set forth below exclusive of future or other capital
investment made at the Premises, annually for a period of three (3)years
beginning January 1, 2018 and ending December 31, 2020; (ii) Seventy
five percent(75%)of the taxes assessed upon the increased value of the
Improvements set forth below exclusive of future or other capital
investment made at the Premises, annually for a period of three (3)years r ;
beginning January 1, 2021 and ending December 31, 2023; and (iii) Fifty
percent(50%) of the taxes assessed upon the increased value of the
Improvements set forth below exclusive of future or other capital
investment made at the Premises, annually for a period of four(4)years
beginning January 1, 2024 and ending December 31, 2027.
B. Section 4(a) Capital Improvements: The Companies shall collectively
construct various improvements on the Premises, which shall be
substantially complete on or before June 30, 2018 (the "Improvement
1
Completion Date"), and which when complete shall have a minimum cost
of Twelve Million Dollars ($12,000,000)for the land, Improvements,
Tangible Personal Property, and Fixed Machinery and Equipment The
Companies shall have such additional time to complete the Improvements
as,may be required in the event of"force majeure" (as set forth herein) if
the Companies are diligently and faithfully pursuing completion of the
Improvements. The date of completion of the Improvements shall be
defined as the date a Final Certificate of Occupancy is issued by the City.
C. Section 4(b) Job Creation: Tool-Flo shall create a total of 149
"Employment Positions", as defined herein, by June 30, 2018: Tool-Flo
shall demonstrate compliance with this Section by maintaining a minimum
of ninety five percent (95%)or more of the required Employment Positions
at the.Premises for the entire duration of this Agreement. Employment
Positions, for purposes of this Agreement,shall only be counted if the
number of Employment Positions is greater than the total number of
• Employrnent Positions located at Tool-Flo's.operations in the City at the
time this Agreement is executed (the"Threshold"). j
D. Section 4(c) Employment Positions: For the purposes of this
Agreement,"Employment Positions"shall be defined as.Tool-Flo's jobs
meeting all of the following criteria:
1. Full-Time Employment Positions or Full-Time Equivalent
Employment Positions. The words "Full-Time Employment
Position"or"Full-Time Equivalent Employment Position"or"Full-
Time Equivalent Employment Positions" mean the equivalent of
one(1) person, employed by the Company working a minimum
of Two Thousand (2,000).hours of work averaged over a twelve
(12)month period, with such hours also to include any personal,
holiday, vacation, sick leave and other typical forms of leave of
similar-sized organizations (e.g., bereavement,jury duty,
disability, etc.), and have 75%or 30 hours of their hours worked
at the Property. The total Full-Time.Equivalent Positions will be
calculated on a twelve (12) month period by dividing the total
hours worked by all employment positions divided by 2,000
hours. Total hours over 2,000 worked by any one (1) person in a
twelve (12)month compliance period will not be counted toward
the overall total hours worked by all employment positions;
provided however that up to 10 of such jobs may be sales and
marketing jobs based at the Property, but which involve routine
travel throughout the Houston area and are not required to meet
the thirty(30) hour per week at the Property standard..:
•
2
2. The Employment Positions must have an average annual gross
compensation of at least$53,000.00 per year (excluding
benefits); and
3. Medical benefits must be provided for each Employment
Position.
E. Section 4(d) Lease agreement: Tool-Flo and DI Properties shall
execute an agreement providing for(1)the construction of an
approximately 75,000 square foot manufacturing/distribution facility on the
Premises, and (2)a lease of said facility by Tool-Flo as the tenant for the
term of this Agreement.
F. Section 7 Annual Compliance Verification: No later than 60 days after
January.1, 2019, and continuing every year thereafter through 2028,
Companies shall deliver to the City an Annual Compliance Verification,in
the form of Exhibit"C", attached hereto, signed by duly authorized
representatives of the Companies certifying the following information:
a. the number of Employment Positions created and maintained by
Tool-Flo on the Premises,the general description the Employment
Positions existing as of December 31st of the preceding year and
the wage information for all Employment Positions; and
b. the appraised value, as determined by the Central Appraisal
District, of the Improvements and Inventory as defined herein,
supporting evidence that the Improvements were constructed or
installed on or before the Improvements Completion Date and a
general description of the Improvements and Inventory existing as
of December 31st of the preceding year.
There shall be a total of ten (10)Annual Compliance Verifications
submitted to the City in years 2019 through 2028. Each Annual
Compliance Verification shall include specific back-up information
supporting the Employment Position data. Furthermore, all Annual
Improvement Compliance Verifications shall:consist of a certified copy of
the appraised value of the Improvements and Inventory as shown by the
Central Appraisal District supported by all correspondence,'renditions,
appeals or contests and settlement of appraised value and shall provide
appropriate back-up data for the Improvements exclusive of other
investments made at the Premises.
2. Contract to Remain in Force. Other than the provisions of the Contract
expressly amended herein, the Contract shall remain in full force and its
enforceability shall be unaffected by this Amendment.
3
EXECUTED and EFFECTIVE as of the� day of dotapt-- , 2017.
ATTEST: CITY •
By: ��,e9 o Lid �- By: ,
��. • T',►1 0 Clay P: son
ry City Manager.
•
APPROVVI AS TO FORM: COMPANY: TOOL-FLO
MANUFACTURING, INC.
By: By: algelq446.1
Darrin M. Coker Dennis Flolo
City Attorney President
COMPANY: D.I. PROPERTIES, INC.
By: i4,
Reg • •er
Vice President
4
Exhibit A
[Tax Abatement Agreement between City of Pearland, D.I. Properties, and Tool-FIoi
' I
' I
5
j,
f j
f' Resolution No. R2015-90
Exhibit "A"
THE STATE OF TEXAS
COUNTIES OF BRAZORIA,
FORT BEND, AND HARRIS
TAX ABATEMENT AGREEMENT
This Tax Abatement Agreement ("Agreement") is entered into by and between
the City of Pearland, Texas, a home rule city and Municipal Corporation of Brazoria,
Fort Bend, and Harris Counties, Texas (the "City"), duly acting by and through its City
Manager, and Tool-Flo Manufacturing, Inc., a subsidiary of IMC Group USA Holdings,
Inc. (herein "Tool-Flo"), duly acting by and through Dennis Flolo, its President, and D.I.
Properties, Inc., a subsidiary of IMC Group USA Holdings, Inc., a subsidiary of a
publicly traded parent (hereinafter called "DI Properties"), dully acting by and through
Reggie Lowder its Vice President. Unless individually recognized Tool-Flo and DI
Properties shall be collectively referred to as the "Companies."
WITNESSETH :
WHEREAS, on the 27th day of April, 2015, the City Council of the City passed
Ordinance No. 1512 establishing Reinvestment Zone# 28 in the City for general
business tax abatement, as authorized by Chapter 312, Tax Code, V.A.T.S. as
amended (the "Code"); and
WHEREAS, the City previously adopted Resolution No. R2015-19, establishing
appropriate guidelines and criteria for governing reinvestment zones and tax abatement
agreements to be entered into by the City as contemplated by the Code; and
WHEREAS, the City's objective is to maintain and/or enhance the general
business economic and employment base of the Pearland area for the long term
interest and benefit of the City, in accordance with Resolution No. R2015-19 and the
Code; and
WHEREAS, the contemplated use of the Premises, as hereinafter defined, and
the contemplated improvements to the Premises in the amount as set forth in this
Agreement and the other terms hereof are consistent with encouraging development of
said Reinvestment Zone in accordance with the purposes for its creation and are in
compliance with Resolution No R2015-19 and the guidelines and criteria adopted by the
City and all applicable law; and
WHEREAS, the Improvements, as defined below, constitute a major investment
within the Reinvestment Zone that will substantially increase the appraised value of
property within the zone and will contribute to the retention or expansion of primary and
secondary employment within the City; and
1
WHEREAS, there will be no substantial adverse effect on the provision of City
services or on its tax base and the planned use of the Premises will not constitute a
hazard to public safety, health,or welfare; and,
WHEREAS, but for the benefits provided through this Tax Abatement Agreement
the Improvements as defined below would not be made in the City; and
WHEREAS, the Companies declare that they will be the sole beneficiary of the
benefits provided through this Tax Abatement Agreement and that the Companies will
not share any portion of the proceeds of the benefits received through this Tax
Abatement Agreement with any other party as compensation or award for consulting or
other services received by the Companies contingent upon the successful execution of
this agreement;
NOW, THEREFORE,for and in consideration of the mutual agreements and
obligations set forth below, the sufficiency of which is hereby acknowledged by the
parties hereto, the Companies and the City mutually agree as follows:
1. DEFINITIONS:
a. Effective Date: The words "Effective Date" mean the January 1st
valuation date immediately following the date of execution of this
Agreement.
b. Improvements: The word "Improvements" mean real property and
or leasehold improvements.
c. _ Fixed Machinery and Equipment: The words "Fixed Machinery
and Equipment" means Tangible Personal:Property excluding vehicles,
vessels or aircraft.
d. Premises:.The property subject to this Agreement, as described by
the metes and bounds and map attached hereto as Exhibit "A."
e. Tangible Personal Property: The words"Tangible Personal
Property" has the same meaning as Section 1.04(5) of the Texas Tax
Code, as amended and includes inventory and supplies. The term
"Tangible Personal Property' does not include Tangible Personal
Property, including inventory and supplies, which were located on the
Premises at any time prior to the Effective Date of this Agreement.
2. CONFLICT OF INTEREST: The City represents and warrants that the
Premises does not include any property that is owned by a member of its council or
z
boards, agencies, commissions, other governmental bodies or employees approving, or
having responsibility for the approval of, this Agreement.
3. ABATEMENT: Subject to the terms and conditions of this Agreement,
and subject to the rights and holders of any outstanding bonds of the City, a portion of
ad valorem taxes assessed upon the Premises, Fixed Improvements and Fixed
Machinery and Equipment property as defined herein and otherwise owed to the City
shall be abated. The City hereby acknowledges that it is not aware of any terms or
conditions of any outstanding bonds which would invalidate this Agreement or would
conflict with the provisions of this Agreement. This Agreement shall be effective with
the January 1st valuation date immediately following the date of execution of this
Agreement (the "Effective Date"). In each year that this Agreement is in effect, there
shall be an abatement of taxes assessed upon the increased value of the Premises due
to the Improvements defined herein, exclusive of future or other capital investment
made at the Premises not contemplated herein, over the market value as of January 1st
in the year in which this Agreement is executed. The abatement as herein provided
shall be for the following years and in the following amounts: (i) One hundred percent
(100%) of the taxes assessed upon the increased value of the Improvements set forth
below exclusive of future or other capital investment made at the Premises, annually for
a period of three (3) years beginning January 1, 2016 and ending December 31, 2018;
(ii) Seventy five percent (75%) of the taxes assessed upon the increased value of the
Improvements set forth below exclusive of future or other capital investment made at
the Premises, annually fora period of three (3) years beginning January 1, 2019 and
ending December 31, 2021; and (iii) Fifty percent (50%) of the taxes assessed upon the
increased value of the Improvements set forth below exclusive of future or other capital
investment made at the Premises, annually for a period of four(4) years beginning
January 1, 2022 and ending December 31, 2025.
4. FUNDING CONDITIONS: The Companies must meet all of the following
conditions ("Funding Conditions"), or the Companies shall be subject to liquidated
damages and/or repayment of abated taxes in accordance with this Agreement:
a. Capital Improvements: The Companies shall collectively construct
various improvements on the Premises, which shall be substantially
complete on or before December 31, 2016 (the "Improvement Completion
Date"), and which when complete shall have a minimum cost of Twelve
Million Dollars ($12,000,000)for the land, Improvements, Tangible
Personal Property, and Fixed Machinery and Equipment. The Companies
shall have such additional time to complete the Improvements as may be
required in the event of"force majeure" (as set forth herein) if the
Companies are diligently and faithfully pursuing completion of the
Improvements. The date of completion of the Improvements shall be
defined as the date a Final Certificate of Occupancy is issued by the City.
3
b. Job Creation: Tool-Flo shall create a`total of 188 "Employment
Positions", as defined herein, by January 1,2017; Tool-Flo shall
demonstrate compliance with this Section by maintaining a minimum of
ninety five percent (95%) or more of the required Employment Positions at
the Premises for the entire duration of this Agreement. Employment
Positions, for purposes of this.Agreement, shall only be counted if the
number of Employment Positions is greater than the total number of
Employment Positions located at Tool-Flo'.s operations in the City at the
time this Agreement is executed (the "Threshold").
c. Employment Positions. For the purposes of this Agreement,
"Employment Positions" shall be defined as Tool-Flo's jobs meeting all of
the following criteria:
1) New positions based at the Premises mean and
include a job (i) requiring a minimum of Two
Thousand (2,000) hours of work by one.(1)
person averaged over a twelve (12) month period
for Tool-Flo, with such hours to include any
vacation and sick leave, (ii)with health insurance
benefits, and (iii) requiring a minimum of thirty
(30) hours of work a week at the Property;
provided however, that up to 10 of such jobs may
be sales and marketing jobs based at the
Property, but which involve routine travel
throughout the Houston area and are not required
to meet the thirty(30) hour per week at the
Property standard; and
2) The.Employment Positions must have an average
annual gross compensation of at least $50,000.00
per year(excluding benefits); and
3) Medical benefits must be provided for each
Employment Position.
d. Lease agreement: Tool-Flo and DI Properties shall execute an
agreement providing for(1)the construction of an approximately 80,000
square foot manufacturing/distribution facility on the Premises, and (2) a
lease of said facility by Tool-Flo as the tenant for the term of this
Agreement.
5. APPLICATION FOR TAX ABATEMENT: Tool-Flo agrees and covenants
that the information provided in.the Application for Tax Abatement attached hereto as
Exhibit "B" is true and correct and that any materially false or misleading information
4 ..
provided to applicable taxing jurisdictions shall be an event of default and grounds for
termination of this Agreement.
6. GOOD FAITH, COMPLIANCE AND CONSIDERATION: The Companies
agree and covenants that it will diligently and faithfully, in a goodand workmanlike
manner, pursue completion of the Improvements as a goodand valuable consideration
of this Agreement. The Companies further covenant and agree that all construction of
the Improvements will be in accordance with all applicable federal, state and local laws
and regulations or valid waiver thereof. In further consideration, the Companies shall
thereafter, from the date a Final Certificate of Occupancy is issued until the expiration of
this Agreement, continuously operate and maintain the Premises and limit the use of
said Premises to that use which is consistent with the terms of this Agreement and the
general purpose of encouraging development or redevelopment of the Reinvestment
Zone during the period that this Agreement is in effect.
7. ANNUAL COMPLIANCE VERIFICATIONS: No later than 60 days after
January 1, 2017, and continuing every year thereafter through 2026, Companies shall
deliver to,the City an Annual Compliance Verification, in the form of Exhibit"C",
attached hereto, signed by duly authorized representatives of the Companies certifying
the following information:
a. the number of Employment Positions created and maintained by
Tool-Flo on the Premises, the general description the Employment
Positions existing as of December 31st of the preceding year and the
wage information for all Employment Positions; and
b. the appraised value, as determined by the Central Appraisal
District, of the Improvements and Inventory as defined herein, supporting
evidence that the Improvements were constructed or installed on or before
the Improvements Completion Date and a general description of the
Improvements and Inventory existing as of December 31st of the
preceding year .
There shall be a.total of ten (10)Annual Compliance.Verifications submitted to the City
in years 2017 through 2026. Each Annual Compliance Verification shall include;specific
back-up information supporting the Employment Position data. Furthermore, all Annual
Improvement Compliance Verifications shall consist of a certified copy of the appraised
value of the Improvements and Inventory as shown by the Central Appraisal District
supported by all correspondence, renditions, appeals or contests and settlement of
appraised value and shall provide appropriate back-up data for the Improvements
exclusive of other investments made at the Premises.
8. APPLICATION FOR PROPERTY TAX ABATEMENT EXEMPTION
FORM 11.28:. Companies shall annually submit the Application for Property Tax
Abatement Exemption Form 11.28, in the form of Exhibit "D"to Harris County annually
5
to qualify for its abatement and shall submit a copy to the City as part of its Annual
Compliance Verification.
9. CERTIFICATION OF GOOD STANDING/DELINQUENT TAXES: By
execution"of this Agreement,the Companies certify that the Companies are in good
standing under the laws of the State in which it was formed or organized, and have
provided the City evidence of such. In addition, the Companies certify that the
Companies owe no delinquent taxes to any taxing unit of the State of Texas, the City or
any other local tax levying political subdivision with jurisdiction to levy taxes in or on the
operations and property of the Companies at the Premises:
10. CERTIFICATION RELATING TO UNDOCUMENTED WORKERS: By
execution of this Agreement, the. Companies, including any business, branch, division,
and department of the Companies, certify that it does not and will not knowingly employ
an undocumented worker(as defined by Texas Government Code Section
2264.001(4)). If after any abatement of taxes under the Agreement, the Companies, or
a business, branch, division, or department of the Companies, is convicted of a violation
under 8 U.S.C. Section 1324a(f), the Companies shall repay the amount of any funds
abated plus interest at the rate of 8% per year. The repayment shall be due and owing
not later than the 120th day after the date ofthe conviction without the requirementof
notice from the City.
11. ACCESS TO PREMISES: The Companies further agree that the City, its
agents and employees shall have the right to enter upon the Premises at any
reasonable time to inspect the Improvements in order to determine whether the
construction of the Improvements is in accordance with this Agreement and all
applicable federal, state, and local laws, ordinances, and regulations or valid waiver
thereof. After completion of the Improvements, the City shall have the continuing right
to enter upon and inspect the Premises at any reasonable time, after 24 hours notice
has beengiven, to determine whether the Premises are thereafter maintained and
operated in Accordance with this Agreement and all applicable federal, state, and local
law, ordinances,and regulations. The City shall conduct at least one inspection
annually to ensure compliance with the:guidelines contained in Resolution No. R2015-
19. Notwithstanding any other provision of this Agreement, if a violation of a federal,
state, or local law, ordinance or regulation exists on the Premises, the City may, in
addition to any other authorized enforcement action, provide to the Companies written
notice of such violation. For the purposes of this Agreement, the Companies shall have
ten (10) days from the date of the notice to cure or remedy such violation. If the
Companies refuse to cure or remedy the violation within the thirty(30) day period, the
Companies are subject to the forfeiture, at the discretion of the City, of any right to any
tax abatement for a portion of theperiod or the entire period covered by this Agreement. .:
6
12. LIQUIDATED DAMAGES:
a. Funding Condition Targets. As set forth above, during the term
of this Agreement through 2026, Tool-Flo shall deliver to the City an
Annual Compliance Verification demonstrating compliance with the
Funding Conditions of this Agreement for the preceding year. If.Tool-Flo
fails to timely provide an Annual Compliance Verification or provides an
Annual Compliance Verification that demonstrates Tool-Flo failed to meet
a Funding Condition target(s) for that year, then the City may, at its sole
discretion and in addition to all other remedies for the recapture of lost tax
revenue provided herein, require the Companies to pay liquidated
damages up to the amount of the abatement received for the year in which
the Companies did not meet the Funding Conditions.
b. General Provisions Related to Liquidated Damages: Liquidated
damages provided for herein shall be construed in Accordance with
Section 312.205, Tax Code, V.A.T.S., as amended, and shall include all
taxes which otherwise would have been paid to the City without the benefit
of abatement (but without the addition of penalty; interest will be charged
at the statutory rate for delinquent taxes as determined by Section 33.01
of the Tax Code) and shall become a debt to the City and shall be due,
owing and paid to the City as liquidated damages subject to the expiration
of any cure period or the termination date, whichever is applicable. The
City shall retain all remedies for the recapture and collection of the lost tax
revenue as provided generally in the Tax Code for the collection of
delinquent property taxes and in Accordance with Resolution No. R2015-
19.
13. DEFAULTS AND REMEDIES:
a. Each of the following acts or omissions of the Companies or
occurrences shall constitute an act of default under this agreement:
1) The Companies fail to meet the Capital Improvements
Funding.Conditions by the.Improvement Completion Date.
2) The Companies fail to provide or submit Annual Compliance
Verification Report(s) as required by this Agreement.
3) The Companies fail to meet any of the Funding Conditions
set forth in Section 4 of this Agreement.
4) The Companies allow their ad valorem taxes owed to any
taxing jurisdiction to become delinquent, and fail to timely.
and properly follow the legal procedures for protest and/or
contest of any such ad valoremtaxes.
b. In the event of a default of the terms of this Agreement, the City
shall provide the Companies written notice of such default, which notice
shall be delivered by personal delivery or certified mail to:
Dennis Flolo
Tool-Flo, Inc.
7803 Hansen Road
Houston, Texas 77061
Reggie Lowder
D.I. Properties, Inc.
300 Westway Place
Arlington, Texas 76018
c. If the Companies fail to satisfactorily cure a default under this
Agreement within thirty(30) days of the date of receiving written notice,
this Agreement may be terminated by the City at its discretion without
further notice or liability to the Companies. In the event the Companies
fail to cure a default within thirty (30) days of receiving notice, the
Companies shall immediately refund to the City any amounts abated
under this Agreement plus interest at the rate of 8% per year,
compoundedannually from January 1 of the year prior to the Default Year
to the date of payment of the refunded taxes.
d. Tool-Flo shall provide the City a written notice a minimum of thirty
(30) days before any of the Employment Positions or Improvements are
moved from the Premises that would result in a reduction below the then
required Employment Positions. In the event Tool-Flo shall move any of
the Employment Positions or Improvements required by this Agreement
from the Premises during the term of the Agreement, the City in its sole
discretion, may, terminate this Agreement and require the Companies to
immediately refund, to the City, all or a portion of the taxes previously
abated under this Agreement, plus interest at the rate of 8% per year,
compounded annually from January 1 of the year following the execution
of this Agreement to the date of repayment.
a
e. All taxes abated herein shall be deemed due and owing to the City
at any point that the Companies cannot pay their bills as they come due.
If after the Companies are no longer able to pay their bills as they come
due, they file for protection from their creditors under any chapter of the
bankruptcy code the City may, at its discretion, pursue the abated taxes
as a creditor in the bankruptcy for unpaid property taxes subject to any
and all tax liens applicable thereto.
14. CITY AUDIT RIGHTS:
a. Duty to Maintain Records. The Companies shall maintain
adequate records to support its compliance with the terms of this
Agreement. The Companies shall also maintain such records as are
reasonably deemed necessary by the City and auditors of the City, or
such other persons or entities designated by the City, to ensure proper
accounting for all costs and performances related to this Agreement.
b. Records Retention. The Companies shall maintain and retain for
a period of four(4) years after the submission of the final Annual
Compliance Verification report, or until full and final resolution of all audit
or litigation matters which arise after the expiration of the four(4) year
period after the submission of the final Annual Compliance Verification
report, whichever time period is longer, such records as are necessary to
fully disclose the extent of services provided under this Agreement,
including but not limited to any daily activity reports and time distribution
and attendance records, and other records which may show the basis for
the calculation of full time positions.
c. Audit Trails. Appropriate audit trails shall be maintained by the
Companies to provide accountability for updates and changes to
automated personnel and financial systems. Audit trails maintained by the
Companies shall, at a minimum, identify the changes made, the individual
making the change and the date the change was made. An adequate
history of transactions shall be maintained by the Companies to permit an
audit of the system by tracing the activities of individuals through the
system. The Companies' automated systems provide the means whereby
authorized personnel have the ability to audit and establish individual
accountability for any action that can potentially cause access to,
generation of, or modification of information related to the performances of
this Agreement. The.Companies agrees that its failure to maintain
adequate audit trails and corresponding documentation shall create a
presumption that the performances were not performed.
9.
d. Access. The Companies shall, upon reasonable advance notice,
grant the City, or such other persons or entities designated by the City for
the purposes of inspecting, auditing, or copying such books and records,
access, during normal business hours on a not to interfere basis, to all
paper and electronic records, books, documents, accounting procedures,
practices or any other items relevant to the performance of this
Agreement. All records, books, documents, accounting procedures,
practices or any other items relevant to the performance of this Agreement
shall.be subject to examination or audit by the City, or such other persons
or entities designated by the City in Accordance with all applicable state
and federal laws, regulations or directives.
e. Location and Reimbursement. Any audit authorized herein shall
be conducted at the Companies' Premises in the City during normal
business hours and conducted at the City's expense and in a manner not
to unreasonably interfere with Tool-Flo and DI Property's business,
provided all reasonable costs incurred by the City in conducting any such
audit shall be reimbursed by the Companies in the event such audit
reveals an aggregate discrepancy in any of the Companies' reporting of
compliance as required by this Agreement. If any audit or examination
reveals that the Companies'reports for the audited period are not
accurate for such period,the Companies shall reimburse the City in
Accordance with Section 11 of this Agreement.
f. Corrective Action Plan. If an audit reveals any discrepancies or
inadequacies which must be remedied in order to maintain compliance
with this Agreement, applicable laws, regulations, the Companies'
responsibilities or performance standards, the Companies agree to, within
thirty(30) calendar days after the Companies' receipt of the audit findings,
propose and submit to the City a corrective action plan to correct such
discrepancies or inadequacies subject to the approval of the City. The
Companies further agree, at the sole cost of the Companies,to complete
the corrective action approved by the City within thirty (30) calendar days
after the City approves the Companies' corrective action plan.
g. Reports. The Companies shall provide to the City periodic status
reports in Accordance with the City's audit procedures regarding the
Companies' resolution of any audit-related compliance activity for which
the Companies are responsible.
15. REPORTS AND BRIEFINGS: In a manner consistent with the need to
protect privacy and the intellectual.property of the Companies and third parties, the
Companies will provide periodic briefings as reasonably requested by the City on the
general activities, economic impact and progress of the new project development and
business operations in Texas.
10
16. USE AND RETENTION OF CITY CRAFTSMEN, TRADES AND
SUPPLIERS: Although not an event of default or a condition to this Agreement, the
City requests that the Companies satisfy their need for additional employees from
residents of the City of Pearland, Texas, and purchase all materials, supplies and
services necessary to affect the occupancy of the property from City of Pearland
merchants and businesses.
17. COMMUNITY INVOLVEMENT: Although not an event of default or
condition of any advance hereunder, the Companies agree to actively participate in
community and charitable organizations and/or activities, the purpose of which are to
improve the quality of life in the City of Pearland, Texas, and to actively encourage its
employees to be involved in such organization and/or activities.
18. FINANCIAL INFORMATION: The Companies shall furnish the City, if
requested, on an annual basis by February 28, of each year throughout the term of this
Agreement, information regarding the general business status, market and general
summary financial updates regarding the Companies that are relevant to the Company's
compliance with this Agreement.
19. INDEMNITY AND HOLD HARMLESS: The Companies release, acquit,
indemnify, and hold harmless the City, its officers, agents, employees, successors, and
assigns, from any and all kinds of claims, demands, losses, damages, injuries, rights,
causes of action, or judgments of whatsoever character or nature, including attorneys'
fees, which may arise as a result of this agreement. The provisions of this section
reflect the expressed intentions of the Companies and the City and shall survive the
termination, expiration, or cancellation of this agreement.
20. EXPRESS NEGLIGENCE. The indemnity set forth in this agreement is
intended to be enforceable against the Companies and their successors and assigns in
Accordance with the express terms and scope hereof notwithstanding Texas' express
negligence rule or any similar directive that would prohibit or otherwise limit indemnities
because of the negligence (whether sole, concurrent, active or passive) or other fault or
strict liability of the city.
21. GENERAL PROVISIONS
a. Authority. Each party represents that it has obtained all necessary
authority to enter into this Agreement.
b. Relationship of Parties and Disclaimer of Liability. The parties
will perform their respective obligations under this Agreement as
independent contractors and not as agents, employees, partners, joint
ventures, or representatives of the other party. Neither party can make
11
representations or commitments that bind the other party. The
Companies are not a "governmental body" by virtue of this Agreement or
the City's granting of an abatement.
c. Limitation of Liability. In no event will either party be liable to the
other party for any indirect, special, punitive, exemplary, incidental or
consequential damages. This limitation will apply regardless of whether or
not the other party has been advised of the possibility of such damages.
d. Term. The term of this Agreement commences on the Effective
Date of this Agreement and continues until December 31, 2026 unless
terminated earlier pursuant to the terms of this Agreement.
e. Termination for Cause. Either party may terminate this
Agreement for cause upon thirty (30) days prior written notice to the other
party. "Cause" is any failure to perform a material obligation under this
Agreement within the specified time; including the Companies' failure to
comply with any Funding Conditions contained herein. The sole remedy
for any termination for Cause (and for the "cause" giving rise to the
termination) shall be that each party is relieved of its obligation to perform
hereunder, however, following termination by the City, the Companies will
continue to be obligated to the City for liquidated damages and/or
repayment of abated taxes in Accordance with applicable provisions of
this Agreement.
f. Dispute Resolution and Applicable Law.
1) Informal Meetings. The parties' representatives will meet
as needed to implement the terms of this Agreement and will make
a good faith attempt to informally resolve any disputes.
2) Applicable Law and Venue. This Agreement is made and
entered into in the state of Texas and this Agreement and all
disputes arising out of or relating thereto shall be governed by the
laws of the state of Texas, without regard to any otherwise
applicable conflict of law rules or requirements. The Companies
agree that any action, suit, litigation or other proceeding
(collectively"litigation") arising out of or in any way relating to this
Agreement, or the matters referred to therein, shall be commenced
exclusively in the State of Texas inany court with proper jurisdiction
to hear this matter closest to the City Hall of the City of Pearland,
and hereby irrevocablyand unconditionally consent to the exclusive
jurisdiction of those courts for the purpose of prosecuting and/or
defending such litigation. The Companies hereby waive and agree
not to assert by way of motion, as a defense, or otherwise, in any
12
suit, action or proceeding, any claim that(a) the Companies are not
personally subject to the jurisdiction of the above-named courts, (b)
the suit, action or proceeding is brought in an inconvenient forum or
(c) the venue of the suit, action or proceeding is improper.
22. MISCELLANEOUS PROVISIONS
a. Counterparts. This Agreement may be executed simultaneously
in two or more counterparts, each of which shall be deemed an original,
and it shall not be necessary in establishing proof of this Agreement to
produce or account for more than one such counterpart.
b. Merger. This document constitutes the final entire agreement
between the parties and supersedes any and all.prior oral or written
communication, representation or agreement relating to the subject matter
of this Agreement.
c. Severability. Any term in this Agreement prohibited by, or unlawful
or unenforceable under, any applicable law or jurisdiction is void without
invalidating the remaining terms of this said Agreement. However, where
the provisions of any such applicable law may be waived, they are hereby
waived by either party, as the case may be, to the fullest extent permitted
by the law, and the affected terms are enforceable in Accordance with the
parties' original intent.
d. Survival of Promises. Notwithstanding any expiration, termination
or cancellation of this.Agreement, the rights andobligations pertaining to
payment or repayment of abated taxes and/or liquidated damages,
confidentiality, disclaimers and limitation of liability, indemnification, and
any other provision implying survivability will remain in effect after this
Agreement ends.
e. Binding Effect. This Agreement and all terms, provisions and
obligations set forth herein shall'be binding upon and shall inure to the
benefit of the parties and their successors and all other state agencies and
any other agencies, departments, divisions, governmental entities, public
corporations and other entities which shall be successors to each of the
parties or which shall succeed to or become obligated to perform or
become bound by any of the covenants, agreements or obligations
hereunder of each of the parties hereto.
f. Successors and Assigns/Notice. The terms and conditions of
this Agreementare binding upon the successors and assigns of all parties
hereto. This Agreement may be transferred or assigned by the j
Companies only upon written permission by the City in Accordance with
13 .
Resolution R2015-19, which permission shall not be unreasonably
withheld, delayed, or conditioned upon the payment of additional
consideration by Companies or the assignee. No assignment shall be
approved if the assignor or assignee is indebted to the City for ad valorem
taxes or other obligations. The Companies, or any legal successor thereto
or prior assignee thereof, may assign their rights and obligations under
this Agreement, including by merger or operation of law, to any legal
successor or any person or entity that acquires all or substantially all of
their business and operations of either of the Companies. In addition,
without the prior written consent of the City, the Companies, or any legal
'successor company thereto or prior assignee thereof, may assign their
rights and obligations under this Agreement to any parent or wholly owned
subsidiary that they currently have in place or later establish, if it is
constituted as a separate legally recognized business entity. Any such
assignment will be made without additional consideration being payable to
the City. This Agreement shall survive any sale, change of control or
similar transaction involving the Companies, any successor thereto or
prior assignee thereof and no such transaction shall require the consent of
the City. The Companies shall provide the City written notice of any
assignment, sale, change of control or similar transaction pursuant to this
section as soon as possible and in no event not later than thirty (30)
calendar days following such event. For the avoidance of doubt, a
collateral assignment to a lender shall not be considered an assignment
for purposes of this Section.
g. Force Majeure. Neither party shall be required to perform any
obligation under this Agreement or be liable or responsible for any loss or
damage resulting from its failure to perform so long as performance is
made.impossible by force majeure or acts of God, including but not limited
to strikes, lockouts or labor shortages, embargo, riot, war, revolution,
terrorism, rebellion, insurrection, flood,natural disaster, interruption of
utilities from external causes. If the force majeure only delays
performance, then the Parties shall not be relieved of the duty to perform
their obligations under this Agreement but shall have additional time equal
to said delay to perform.
h. Notice. All notices, requests, demands and other communications
will be in writing and will be deemed given and received (i) on the date of
delivery when delivered by hand or via electronic mail, (ii) on the following
business day when sent by confirmed simultaneous telecopy and (iii) on
the following business day when sent via overnight courier(e.g., Federal
Express).
23. AGRICULTURAL VALUATION: It is understood and agreed by the City
and the Companies that if the Premises has been designated and taxed as agricultural
14
land pursuant to Chapter 23, Subchapter C, Tax Code, V.A.T.S., that this Agreement
shall not be effective and no abatement granted until the Companies has removed the
agricultural use designation and all taxes due pursuant to Section 23.55, Tax Code,
V.A.T.S., as amended, (roll back taxes) have been paid.
24. CITY AUTHORIZATION: This Agreement was authorized by Resolution
of the City Council at its council meeting on the 11th day of May, 2015, authorizing the
City Manager to execute the Agreement on behalf of the City.
Witness our hands this 18441 day of PtA1 , 2015.
ATTEST: CITY
By: 1. ,� . �� :i.►:T By: /
ung , ing, C`o/�i►,,, Fray Pe;rs•n
ity S- - etary Q o,, City M.•nager
��-- %S
,\ Jc
APPROVED AS TO FOR11i%,,,inio„"�
By:
Darrin M. Coker
City Attorney
15
TOOL-FLO MANUFACTURING, INC.
By:
D nnis 1010
President
D.I. PROPERTIES, INC.
By:
Re!•' G•wder
Vice President
16
THE STATE OF TEXAS
COUNTY OF BRAZORIA
BEFORE ME, the undersigned Notary Public, on this day personally appeared
Clay Pearson, City Manager for the City of Pearland, known to me to be the person
whose name is subscribed to the foregoing instrument and acknowledged to me that he
executed the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE THIS_o - DAY OF,
, A.D., 2015.
. j
;:41414A;41*-- (--67/67-1
:a MARIA E.RODRIGUEZ NOTARY PUBLIC, STATE OF XA
N.594' td PubrF,state of Texas b Printed Name: M e E. R oiDe t vutZ
My Commission Expires .
l Commission Expires: na ab-L011
sag
02/26/20ti
. 17 �
THE STATE OF
COUNTY.OF '
BEFORE ME, the undersigned Notary Public, on this day personally appeared,
Dennis Flab, President of Tool-Flo, Inc., known to me to be the person whose name is
subscribed to the foregoing instrument and acknowledged to me that he executed the,
same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE THIS 3ae/b DAY OF
. 01J I - _ ,A.D., 2015.
,,,,,J . NOT RY KizBLIC, STA E OffF� ' S
.Q�+� A,� LARRY M.PHILLIPS Printed Name: . !�L /GLJ�S
ti Notary Public,State of Texas ti
4 .,. �� ti Commission Expires: l� OZo/]
°••?
THE STATE OF
COUNTY OF (1‘11A,n
ic
BEFORE ME, the undersigned Notary Public, on this day personally appeared
Reggie Lowder, Vice President of D.I. Properties, Inc., known to me to be the person
whose name is subscribed to the foregoing instrument and acknowledged to me that he
executed the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE THIS 05 DAY OF
` U , A.D., 2015.
(\2- 1/DOM
i•"°""4•, STACIA D BROOM NOTARY PUBLIC, E OF TEXAS
P�B�_ Notary Pubiic,State of Texas
w% My Commission Expires Printed Name: d;LoL ,,49�VV
-.; Or- July 18,2019 Commission Expires: OIL4. IX
18
Exhibit "A"
PREMISES
Property Description
15 acres out of 28.4 acres located in Harris County.
TRS 39 39 1/2 40 40 1/2 41 &
TRS 41 1/2 42&42 1/2
ABST 876 D WHITE
Harris County Parcel ID: 0451800000170
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13060776v.4
Exhibit "B"
APPLICATION FOR TAX ABATEMENT IN THE CITY
13060776v.4
APPLICATION FOR TAX ABATEMENT IN THE
CITY PEARLAND .
It is recommended that this application be filed at least 90 days prior to the beginning of construction or the installation
of equipment. The filing of this document acknowledges familiarity and conformance with Guidelines and Criteria for
Granting Tax Abatement in a Reinvestment Zone Created in the City of Pearland. This application will become part of
the agreement and any knowingly false representations will be grounds for the City to void the agreement. Original copy
of this request should be submitted to the Pearland Economic Development Corp.President,1200 Pearland Parkway,
Suite 200, Pearland, Texas 77581, 281.997.3000, www.pcarlandedc.com. PIease attach exhibits and additional
information.
Applicant Information
Name of Business: D.I Properties,Inc. Date:4-22-2015
Address: 300 Westway Place
City:Arlington State: TX Zip: 76018
Contact Person: Reggie Lowder Title: Vice President
Phone: 817-258-3200 Fax: 817-258-3287 Email: reggie.lowder@iscarusa.com
NQAICS Codes for primary business operations: 531120
Federal ID Number: 75-2546832
Does the Business file a consolidated tax return under a different tax ID number? ® Yes ❑ No
If yes,please also provide that tax ID number. 75-2908704
What is your State of Texas tax ID number. 30117170933
Is the contact person listed above authorized to obligate the Business?
®Yes ❑No
If no,please provide the name and title of a company officer authorized to obligate the Business:
1) See attached
Project Information
Location and legal description of the area to be designated as reinvestment zone(Provide map showing site and metes
and bounds description in attachment A5):
Type of Business Project:
• New Location ❑ Modernization of Existing Pearland Facility
❑ Expansion of Pearland Facility
Type of Facility:
® Manufacturing ❑ Reg.Distribution Center
® Regional Service ❑ Reg.Entertainment Center
❑ Other Basic Industry
Briefly describe the proposed project for which assistance is being sought.(Include project facility size,infrastructure
improvements,proposed products/services,any new markets,etc.) Negotiations are being conducted for purchase of
approximatley 15 acres of land at the SE corner of Kirby and N.Spectrum.Overall design is for a 162,000 sq ft
world class facility for the headquarters of Tool Flo Manufacturing.Orginal construction is 80,000 sq ft of space
under roof for manufacturing,office,warehouse,and technical productivity center.Future expansion areas are in the
overall design and include additional space as follows:64,000 sq ft of additional manufacturing; 18,000 sq ft of
warehouse and distribution,which will open up existing space for additional manufacturing.Project budget is based
on original construction.
Has any part of the project started? El Yes ®No
If yes,please explain.
Identify the Business'competitors. If any of these competitors have Pearland locations,please explain the nature of the
competition(e.g.competitive business segment,estimated market share,etc.)and explain what impact the proposed
project may have on the Pearland competitor.
Will any of the current Pearland employees lose their jobs if this project does not proceed in Pearland?(Existing
Pearland Companies only) ❑ Yes ❑ No
If yes,please explain why and identify those jobs as"retained jobs"in the Project Jobs section.
Is the Business actively considering locations outside of Pearland? ® Yes ❑ No
If yes,where and what assistance is being offered?
Nearby sites are being considered inside and outside of Pearland.The sites outside of Pearland being
considered are available at significantly lower cost.No other incentives are known.This site is attractive only if
higher costs are offset by incentives.
Will any State or Federal Permits be needed for the project? ❑ Yes ❑ No
If yes,please describe each and current time-frame for receiving each?
Will the project be seeking LEED certification? ❑ Yes ® No
If yes,what level of certification is being sought?
Tax Abatement Information
Description of eligible improvements(real property)to be constructed including fixed equipment,buildings,parking
lots,etc(Provide detail in attachment AG): constructed air conditioned facilities and parking,machine tools, '
automated warehouse equipment,other manufacturing equipment.
1
Description of ineligible property to be included in project,including inventory and personal property: office
equipment,computer equipment,furniture fixtures and finished goods inventory.
The proposed reinvestment zone is Iocated in:
County Harris 1
Drainage District: Harris County Flood Control
School District: Houston ISD
College District: Houston Community College
Other Taxing Jurisdictions:Harris County Hospital District,Harris County Education Department,Port of
Houston Authority,City of Pearland,Lower Kirby Management District
What is the parcel(s)tax identification number(s)?: 0451800000170 negotiating on a portion of this tract
Tax Abatement Requested:1000/0 of eligible property for a term of 10 years(or)
requesting staggered tax abatement terms as follows: or for the full extent authorized by your guidelines and criteria
Is the applicant seeking a variance under Section 3(f)of the Guidelines: Yes ❑ No
If yes,attached required supplementary information in attachment A8.
Has company made application for abatement for this project by another taxing jurisdiction or nearby counties:
Yes ❑ No ®
If yes,provide dates of application,hearing dates,if held or scheduled,name of jurisdictions and contacts,and
letters of intent.
Construction Estimates
Commencement Date: 09-2015 If Modernization
Construction Man Years: Estimated Economic Life of Existing Plant in years:
Completion Date: 2016 Added Economic Life from Modernization in years:
Peak Construction Jobs:
20 APPRAISED BASE VALUE ON SITE ESTIMATED VALUE OF NEW
— VALUE ADDED
Land $1,900,000 Land $2,600,000
Building and Improvements $ Fixed Improvements $16,600,000
Fixed Equipment $ Fixed Machinery Equipment $15,000,000
Personal Property $ Personal Property $600,000
Inventory $ Inventory $3,000,000
Total of Pre-existing Value $ Total of New Value Added $37,800,000
Total Value of Pre-existing and New Value $1,900,000
Attachments
Please attach the following documents:
Al Completed Economic Impact Data Sheet(If requested)
A2 Business Plan(If requested)
A3 Copy of the most recent payroll report for one pay period must be in Excel format and include the following
information:
• Company name,date of payroll and source of payroll information
• Employee name and/or employee identification number
• Current hourly wage-do not include bonuses or other benefit values
• Indicate if the employee is full time(40 hours per week,52 weeks per year)or part time.
A4 Financial Information
• Audited profit and loss statements and balance sheets for past three year-ends;
• Current YID profit and loss statement and balance sheet;and
• Schedule of aged accounts receivable;
• Schedule of aged accounts payable;and
• Schedule of debts.
A5 Map showing boundaries of proposed site.
A6 Statement explaining general nature and extent of the project,describing existing site and improvements;
describe all proposed improvements and provide a list of all improvements and equipment for which
abatement s requested.
A7 Proposed timeline for undertaking and completing the planned implements.
A8 Variance Request(if applicable)
INSTRUCTIONS
Applicants and projects must meet the requirements established by the City of Pearland Guidelines and Criteria for Granting
Tax Abatement in a Reinvestment Zone found in Resolution No. R2011-12 (attached) in order to receive positive
consideration. Section 2 of the Guidelines, for example, sets out regulations governing eligible facilities, eligible and
ineligible improvements, terms and economic qualifications. Conformance with all sections, however,is required for
eligibility.
APPLICANT INFORMATION
The taxing unit may consider applicant financial capacity in determining whether to enter into an abatement agreement.
Established companies for which public information is available, or the wholly owned businesses of such companies,
should include with the application a copy of their latest annual report to stockholders. Other applicants and new
companies should attach a statement showing when the company was established, business references (name, contact
and telephone number of principal bank,accountant and attorney) and may be required to submit an audited financial
statement and business plan.
PROJECT INFORMATION
Only facilities listed in Section 2(a) of the Guidelines may receive abatement without applying for a variance. Check
guideline definitions in Section 1 to see if project qualifies.
TAX ABATEMENT INFORMATION
Estimated Appraised Value on Site-The value as of January 1 immediately preceding abatement should be the value
established by the Appraisal District. If the applicant must estimate value because the taxable value is not known or is
combined with other properties under a single tax account, please so state. Projections of value should be a "best
estimate"based on taxability in Texas. The projection of project values not abated should include personal property and
ineligible project-related improvements such as office space in excess of that used for plant administration,housing,etc.
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EXHIBIT "C"
FORM OF ANNUAL EMPLOYMENT COMPLIANCE VERIFICATION
13060776v.4
_t
/ PEAR
ECONOM C OFVELOPME CORPORATION
CITY OF PEARLAND
TAX ABATEMENT ANNUAL INVESTMENT AND EMPLOYMENT
COMPLIANCE VERIFICATION
Verification should be submitted to the Pearland Economic Development Corporation President, 1200 Pearland
Parkway,Suite 200,Pearland,Texas 77581,281.997.3000,www.pearlandedc.com. Please attach exhibits and additional
information.
Company Information
Name of Business: D.I.Properties&Tool Flo,Inc. Date:
Address: 300 Westway Place
City:Arlington State: TX Zip: 76018
Contact Person: Reggie Lowder Title:
Phone: Fax: Email:
Annual Compliance Verification
Please check the box that applies:
❑ First Time Filing
❑ Subsequent Filing
If subsequent,date last compliance submitted:
Report Covers Period: Begin Date: End Date:
This is compliance of 10.
1
Attachments
Please attach the following documents:
Al Annual Compliance Employment Verification
A2 Certified copy of the appraised and settled value of the Improvements as shown by the appropriate Central
Appraisal District supported by all correspondence,renditions,appeals or contests and settlement of appraised value and
shall provide appropriate back-up data for the Improvements exclusive of other investments made at the Premises.
A3 Business Personal Property Rendition Form 22.15 (as submitted to Harris County)
A4 Application for Property Tax Abatement Exemption Form 11.28 (as submitted to Harris County)
Certification
I certify the appraised value of the improvements as defined in our agreement with the City of Pearland.
I certify the Business has not, within the reporting period, been cited or convicted for violating any state or federal
statutes,rules,and regulations,including environmental,worker safety and immigration regulations
Under penalty of perjury,I declare that the information in this document and any attachments are true and correct to the
best of my knowledge and belief.
For the Business:
Signature Date
Name and Title (typed or printed)
3
Retur
err p Harris County
BUSINESS p'
Business 8 ndustrialSProplerty DDiv. *I V EWP P 1 3 0
"a„•'� HousstcnTX00292-2007 PERSONAL PROPERTY RENDITION
CONFIDENTIAL *2015*
January 1, 2015
Form 22.15(01/15) For assistance,please refer to instructions on pages 3&4 of this form.
Part 1.Property Owner Name,Business Name,Address,Phone and Physical Location or Situs[Required]:
Account Number
Business Name Business Owner
'File T'''Number
Mailing Address,City,State,Zip Code
Agent Name
Property Location Address,City,State,Zip Code Phone(area code and number)
Agent ID#
(Part 2.Business Information: Please address all that apply.Optional but very Important. •
I
If business closed,were assets still in place as of Jan 1? ❑Yes❑No
Sales Tax Permit Number Business Start Date at Location Business Closed Date
Ownership Tvoe Business Type ❑The business owned no
taxable in
Square Feet Occupied Business Description IDIndividual IDManufacturing County as off Jan 1 Harris
❑ Corporation 0 Wholesale
Business Sold Date New Owner 0 Partnership 0 Retail 0 This is a new business or
location for the above tax
❑Other 0 Service year
Business Moved Date New Location.City.State,Zip Code
IPart 3.Affirmation of Prior Year Rendition: (Check only if applicable and your assets were exactly the same as the prior rendition form). I
0 By checking this box,I affirm that the information contained in the most recent rendition statement filed for a prior tax year(the tax year)continues to be complete and accurate for the
current tax year. II(checked,you may skip to Part 6."Signature and AffirmationJ
(Part 4.Description of Assets: A description of assets is required unless you checked Part 3 of this form.Please check all that apply. I
❑ Inventory 0 Raw Materials ❑Furniture&Fixtures 0 Computers Location(if different from above)
0 Supplies ❑Work In Process 0 Machinery&Equipment 0 Miscellaneous Describe Miscellaneous Assets:
Part 5.Market Value: What do you estimate to be the total market value of your business assets?[Required,unless you checked Part 3 of this form.]
❑ Under$20,000 (If"Under$20,000”is checked,Page 2 is optional as long as a general description of the property by type or category has been provided in Part 4J
0 $20,000 or more (if$20,000 or more"is checked,you must complete all of Page 2.)
(Part 6.Sign and Date Form:This form must be signed and dated.By signing this document,you attest that the Information contained on RIs true and correct to the best of your knowledge and belief.
Indicate If you am filling out Notarization:Complete listener Is note secured party,or owner,employee,or
this form as: officer of the company or affiliated company.
Signature Printed Name SUBSCRIBED AND SWORN TO BEFORE METHS:
0 Owner!Employee day of zo_
❑Authorized Agent Company Name Title
❑Fiduciary ( ) •
❑Secured Party Phone No. Date Email(optional) Notary Public Signature State
If you make a false statement on this form,you could be found guilty of a Class A misdemeanor or a state jail felony under Section 37.10,Penal Code.. Page 1
IMPORTANT INFORMATION AND INSTRUCTIONS
This rendition must list the business personal property that you owned on January 1 (B)the source of the information used;
of the year.This includes assets being depreciated on your books,as well as assets (2)state the effective date of the opinion of value;and
that have been fully depreciated and assets which were gifts or expensed rather than
capitalized for Income tax purposes.It must provide the property owner's name and (3)explain the basis of the value rendered.
address if you manage or control the property as a fiduciary.You are required to list Failure to comply in a timely manner is considered to be a failure to timely render and
the name and address of each owner of taxable property that is in your possession or the Tax Code requires that penalties be applied by the chief appraiser.
under your management on Jan. 1 by bailment, lease, consignment or other PENALTIES:The chief appraiser must Impose a penalty on a person who fails to
arrangement.Except as noted,you are required by law to fill out all sections of the timely file a required rendition statement or property report in an amount equal to 10
form.If you provide substantially equivalent information to a company contracted with percent of the total amount of taxes imposed on the property for that year by taxing
the appraisal district to appraise property,you are not required to file this statement. units participating in the appraisal district. The chief appraiser must impose an
GENERAL INSTRUCTIONS:This form is for use in rendering,pursuant to Tax Code additional penalty on the person equal to 50 percent of the total amount of taxes '
Section 22.01,tangible personal property used for the production of income that you imposed on the property for the tax year of the statement or report by the taxing units
own or manage and control as a fiduciary on Jan.1 of this year. participating in the appraisal district if it is finally determined by a court that:
FILING AND DEADLINES: Rendition statements and property reports must be (1)the person filed a false statement or report with the Intent to commit fraud or to
delivered to the chief appraiser after Jan. 1 and not later than April 15, except as evade the tax;or
provided by Tax Code Section 22.02.On written request by the property owner,the (2) the person alters, destroys, or conceals any record, document, or thing, or
chief appraiser shall extend a deadline for filing a rendition statement or property presents to the chief appraiser any altered or fraudulent record, document,or
report to May 15.The chief appraiser may further extend the deadline an additional thing,or otherwise engages In fraudulent conduct,for the purpose of affecting the
15 days upon good cause shown in writing by the property owner.If you choose to file course or outcome of an inspection, investigation, determination, or other
your extension request online, go to ble to a www.hcad,org/iFlie.. Pursuant to Tax Code proceeding before the appraisal district.
Section 22.02,if an exemption applicable to a property on Jan.1 terminates during
the tax year,the person who owns or acquires the property on the date applicability of SPECIAL INSTRUCTIONS:Effective Jan. 1,2014,certain dealers of motor vehicle
the exemption terminates shall render the property for taxation within 30 day's after inventory may elect to file renditions under Tax Code Chapter 22, rather than file
the date of termination.If the chief appraiser denies an application for an exemption declarations and tax statements under Tax Code Chapter 23. Tax Code Section
far property subject to rendition pursuant to Tax Code Section 22.01(a),the person 23.121(a)(3)allows a dealer to make this election if it(1)does not sell motor vehicles
who owns the property on the date the application is denied shall render the property that are self-propelled and designed to transport persons or property on a public
for taxation in the required manner within 30 days after the date of denial. highway;(2)meets either of the following two requirements:(a)the total annual sales
NOTARIZATION: If you complete the rendition form as a secured party, property from the inventory,less sales to dealers,fleet transactions,and subsequent sales,for
owner,an employee of the property owner,or an employee of a property owner on the preceding tax year are 25 percent or less of the dealer's total revenue from all
behalf of an affiliated entity of the property owner,no notarization is required. sources during that period,or(b)the dealer did not sell a motor vehicle to a person
other than another dealer during the preceding tax year and the dealer estimates that
INSPECTION OF PROPERTY: Pursuant to Tax Code Section 22.07, the chief the dealer's total annual sales from the dealer's motor vehicle inventory,less sales to
appraiser or his authorized representative may enter the premises of a business, dealers, fleet transactions, and subsequent sales, for the 12-month period
trade,or profession and inspect the property to determine the existence and market corresponding to the current tax year will be 25 percent or less of the dealer's total
value of tangible personal property used for the production of income and having a revenue from all sources during that period;(3)files with the chief appraiser and the
taxable situs in the district. tax collector by Aug.31 of the tax year preceding Jan.1 on a form prescribed by the
SEPTEMBER 1, INVENTORY APPRAISAL-Check this box on the rendition form comptroller a declaration that the dealer elects not to be treated as a dealer under
only If you made written application to the appraisal district for September 1 inventory Tax Code Section 23.121 in the current tai year,AND(4)renders the dealer's motor
appraisal by July 31,of the prior year. vehicle inventory in the current tax year by filing a rendition with the chief appraiser in
REQUEST FOR STATEMENT REGARDING VALUE Pursuant to Tax Code Section the manner provided by Tax Code Chapter 22.A dealer who makes this election must
1
22.07,the chief appraiser may request,either in writing or by electronic means,that file the declaration annually withlong the chief dealer meetse and the tax collector by Aug. o
the property owner provide a statement containing supporting information indicating of the preceding tax year,so as the the eligibility requirements of
law.
how value rendered was determined.The property owner must deliver the statement
to the chief appraiser,either in writing or by electronic means,not later than the 21st Effective Jan.1,2014,a dealer of heavy equipment Inventory may render its
day after the date the chief appraiser's request is received.The statement must: inventory by filing a rendition statement or property report as provided by Tax Code
Summarize information sufficient to Identifythe property, Chapter 22.If the dealer files a rendition,the dealer Is not considered to be a deafer
(1) including: as defined by Tax Code Section 23.1241(a)(1).A heavy equipment inventory dealer
(A)the physical and economic characteristics relevant to the opinion of value,if has the option to render or to file declarations and tax statements,without filing
appropriate;and additional declarations with the chief appraiser or tax collector.
EXHIBIT "D"
APPLICATION FOR PROPERTY TAX ABATEMENT EXEMPTION
FORM 11.28
13060776v.4
Harris County Appraisal District Application for Property Tax Abatement
Office of the Chief Appraiser/Abatements ,
P.0. Box 920975
Houston,TX 77292-0975 • Exemption for
(713)957-5294
Form 11.28 (12/2014) - Tax Year
This application covers property you owned on January 1 of this year. Be sure to attach any additional documents requested. File this application
at the mailing address above. The district is located at 13013 Northwest Freeway, Houston,Texas 77040.
GENERAL INSTRUCTIONS: This application is for use in claiming property tax exemptions pursuant to Tax Code
§11.28. You must furnish all information and documentation required by the application.
APPLICATION DEADLINES: You must file the completed application with all required documentation between January
1 and no later than April 30 of the year for which you are requesting an exemption.
ANNUAL APPLICATION REQUIRED: You must apply for this exemption each year you claim entitlement to the
exemption.
OTHER IMPORTANT INFORMATION
Pursuant to Tax Code§11.45, after considering this application and all relevant information,the chief appraiser may
request additional information from you. You must provide the additional information within 30 days of the request or
the.application is denied. For good cause shown,the chief appraiser may extend the deadline for furnishing the
additional information by written order for a single period not to exceed 15 days.
Step 1 (Provide Name and Mailing Address of Property'Owner and'Identity;of Person Preparing Application
Name of Property Owner
Mailing Address
City,State,ZIP Code Phone(area code and number)
Property Owner is a(n)(check one): 0 Individual 0 Partnership 0 Corporation ❑Other(Specify):
Name of Person Preparing this Application Title Driver's License, Personal I.D.Certificate, or ,
Social Security Number*
If this application is for an exemption from ad valorem taxation of property owned by a charitable organization
with a federal tax identification number,that number may be provided here in lieu of a driver's license number,
personal identification certificate number,or social security number.
*Unless the applicant is a charitable organization with a federal tax identification number,the applicant's driver's license number,personal identification certificate number,
or social security account number is required.Pursuant to Tax Code Section 11.48(a),a driver's license number,personal identification certificate number,or social security
account numberprovided in anapplication for an exemption filed with a chief appraiser is confidential and not open to public inspection.The information may not be disclosed
to anyone other than an employee of the appraisal office who appraises property,except as authorized by Tax Code Section 11.48(b).If the applicant is a charitable organization
with a federal tax identification number,the applicant may provide the organization's federal tax identification number in lieu of a driver's license number,personal identification
certificate number,or social security account number. -
Step 2 Describe the Property for Which You are Seeking an Exemption
If ou
_ _.__..Y..�apphed'last year�recf nofhm�has changed and/or your agreemdi
enf(s)were not modified skip fofhe renewalsect►on _
Legal description of property(Reinvestment Zone)where tax-abated property is or will be located.
Street Address,City,State,and ZIP Code
HCAD Account Number(s)for abated property
Ste p 3 List the Taxing,Units that have Agreed to Abate•your Taxes Attach and Complete, Fully-Executed Copies of the
+Abatement.Agree hent includmg,iAny amendments for eacl%}Urnt::
FOR EACH TAXING UNIT IDENTIFIED,ATTACH COPIES OF ABATEMENT AGREEMENTS.
.
(12/2014)
Supplemental Abatement Application Questionnaire for Tax Year
This information is needed so that the taxing units can properly monitor your abatement agreement. Rather than sending you
the supplemental questionnaire after you file your initial application, we are including it with the application. Please take the
time to provide the answers below. •
Owner's Name Taxing Unit(s)("All",or individual unit name per copy of this page)
1. Please list taxing units that have agreed to abatement agreement amendments, if any,that are first-effective for this year.
a. b. c.
2. Please indicate the percentage or amount of exemption that applies to your property in each of the following years: (for example, if your
abatement begins in 2005 and entitles you to 100%for the first three years,50%in the fourth year,25%in the fifth year and none thereafter,
you would put 2005-100%;2006-100%; 2007-100%;2008-50%and 2009-25%).
2005 2006 2007 2008 12009 2010 2011 2012 2013 2014
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
3. Describe the current construction status for the project.
D Construction Has Not Begun(give projected start and completion dates) Projected Start Date Projected Completion Date
Construction In Progress(give beginning and projected completion dates) Date Begun Projected Completion Date
❑ 9 9� 9 P 1 P
❑Construction Complete(give completion date) Completion Date
4. Considering only items in the abatement agreement investment budget that were identified as being subject
to abatement: 4a. What is the total budgeted amount stated in the agreement? 4a.$
4b. For those items that were constructed or installed,before the end of the construction phase defined
in the agreement,what total expenditure was actually made prior to this year? 4b.$
5. Did any of the property, considered in the answer to question 4, receive a Federal, State,or Local
non-abatement exemption(pollution control exemption,for example)in the previous and/or current year? 5. Yes❑ No ❑
5a. If"Yes",attach an additional page to this form that provides a schedule of such property for each tax
year involved,showing the exemption amount for each item.
6. Has the facility begun operation? 6. Yes ❑ No ❑ 6a. If"Yes",operation start date:
7. Does your abatement agreement(s)require the annual rendition of all personal property("PP")in the
reinvestment zone(via reference to Texas Tax Code Chapter 22 or an explicit statement)? 7. Yes❑ No ❑
7a. If"Yes",specify the applicable appraisal district PP account numbers:
8. Job Creation and Retention at the Facility per Abatement Agreement
a. Number of lobs required by agreement for project this year.
Added Retained Total Not Stated( )
(Added+Retained)
1) Permanent,Full-lime Employees
2) Part-Time Employees
3) Contract Workers,Direct
4) Contractor-Provided Workers
b. Actual project employee counts on January 1 of this year.(per your Texas Workforce Commission fourth quarter(December month)filing for 2014
for permanent,full-time and part-time employees)
Added Retained Total
1) Permanent,Full-lime Employees
2) Part-Time Employees
3) Contract Workers,Direct
4) Contractor-Provided Workers j
c. If your agreement has additional categories of job retention and/or creation,either at the facility or elsewhere,attach a fetter to this form providing
Ba.and 8b.information for each additional category.
Signature Name(printed) Date
I certify
this Title Phone Fax Number
information
is true and
correct E-Mail Address Company Name(if different from Owner's Name above)
reU A4A3USA
Water and Wastewater Membranes
innovations, inc. !
Mr. David Irvine
Mr.Javier Cantu, et al
Stantec
Houston,Texas
On behalf of Eric Wilson, the City of Pearland
Mr. Irvine—
Thank you for the opportunity to submit a proposal for the piloting of the MaxFlow MBR at the
Barry Rose WWTP in Pearland,Texas. It is our intent to allow you to thoroughly review the A3-
USA MaxFlow membrane in a variety of scenarios, and prove its ability to provide what the City
needs for long-term membrane treatment.The following proposal stems from the discussions
ReUse Innovations has had jointly with Stantec and the City.
Intent& Duration
Pilot a small MBR equipped with the A3 MaxFlow membrane over approximately a 3.5-month
period (2 weeks startup, 12 weeks operation) at the Barry Rose wastewater treatment plant in
Pearland,Texas. The plant will sit alongside the MCC building on the existing concrete slab.
The pilot will follow a protocol developed jointly by A3 and ReUse, and refined by Stantec and
the City. It will be intended to demonstrate the membrane's performance across a variety of
flux rates and other variables, and result in a data set useful for comparing the MaxFlow
membrane to competing membranes and other non-MBR technologies.
System
ReUse is proposing to use a skid-mounted MBR arranged in a cellular format.The skid is
approximately 12'W x 45'L, and contains three (3) HDPE tanks contained in a coated carbon
steel frame. All equipment and controls are mounted on the same skid, making it a true
packaged plant, arriving plumbed and wired.
Influent will be pumped from adjacent manhole into influent fine screen.